(3 points) When sold for $259,000.00, Ferraris have an annual supply of 6758 vehicles and an annual demand of 6691 vehicles.When their price increases to $279,000.00, the annual supply increases to 6913, and the demand decreases to 6010 billion gallons.(a) Assuming that the supply and demand equations are linear, Afind the supply and demand equations.Supply Equation p =Demand Equationp(Note: The equations should be in the form p = mg + b where p denotes the price (in dollars) and q denotes the quantity. The slopeand y-intercept should be accurate to two decimal places).(b) Find the Equilibrium price and quantity.Equilibrium price p =Equilibrium quantity q =(Note: The equilibrium price and quantity should be accurate to two decimal places, and the equilibrium price should include a dollarsign).

The demand function shows the units of commodity that the consumers desire to purchase at the market…

Answered: (3 points) When sold for $259,000.00,…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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